scholarly journals Why do the urgency of stakeholders matter more in the firm performance?

2021 ◽  
Vol 6 (1) ◽  
pp. 339-352
Author(s):  
Maqsood Hayat ◽  
Dr. Shehzad Khan ◽  
Kiran Alim
Keyword(s):  
Developing Countries ◽  
Corporate Social Responsibility ◽  
Financial Performance ◽  
Direct Relationship ◽  
Developed Countries ◽  
Emerging Countries ◽  
Decision Makers ◽  
Comprehensive Picture ◽  
Csr Disclosure ◽  
Corporate Social

This study is an attempt to scrutinize the importance of different stakeholders with respect to financial performance (FP hereafter) in emerging countries context. Unlike developed countries, every element of the corporate social responsibility (CSR hereafter) is not supposed to generate similar corporate payback in the context of developing countries. Enterprises take considerable care to categorize these stakeholders in proper sequence for better corporate results. It was found empirically that CSR disclosure (CSRD hereafter) relevant to employees and communities have direct relationship with the firm‟s performance in term of earning per share (EPS).The results of this study will portray a comprehensive picture for corporate decision makers to realize the priorities and urgency of different beneficiaries for corporate benefits, existence and prosperity in the context of developing countries like Pakistan.

scholarly journals Corporate social responsibility and firm financial performance: A literature review

2020 ◽  
Vol 4 (3) ◽  
pp. First
Author(s):  
Tien Thu Thuy Nguyen ◽  
Chi Ha Lien Nguyen
Keyword(s):  
Corporate Social Responsibility ◽  
Firm Performance ◽  
Social Responsibility ◽  
Financial Performance ◽  
Developed Countries ◽  
Emerging Countries ◽  
Future Research ◽  
Firm Financial Performance ◽  
Wide Range ◽  
Corporate Social

This paper aims to investigate the literature on Corporate Social Responsibility (CSR) to provide a comprehensive overview of whether CSR would make a difference to organisational financial outcomes. The paper also provides a closer focus on CSR research in Vietnam. Through an extensive analysis of 86 most recent empirical studies from 2015 to 2020, we found that the contribution of CSR to firm financial performance has received significant support from the literature. Yet the overall findings are still inconsistent, and the majority of evidence is mainly from developed countries. The current literature on CSR and firm performance highlights some important issues, ranging from theoretical background, CSR measures, methodological issues, the need to consider intervening factors in CSR-firm performance relationship, and the need to extend this literature further in developing and emerging countries. The literature on CSR-firm performance research in Vietnam closely resembles these problems. Research in this country domain is still scarce in both quantity and quality, reflecting in a number of issues including the limited number of international publications, the absence of theory-driven research, and the less rigorous research design. Building on these findings, we recommend future research to (i) adopt the multi-theoretical approach for a more extensive view on whether and how CSR contributes to firm performance; (ii) obtain more rigorous methodological approaches to measure a wide range of CSR dimensions and address the issue of endogeneity in CSR-firm performance causal relationship; (iii) open the Pandora box to explore why and through which channels CSR can improve firm financial performance with the presence of situational factors; and (iv) build the literature with more evidence from different country contexts and from developing and emerging countries.

scholarly journals Corporate social responsibility and firm financial performance: A literature review

2021 ◽  
Author(s):  
AISDL
Keyword(s):  
Corporate Social Responsibility ◽  
Firm Performance ◽  
Social Responsibility ◽  
Financial Performance ◽  
Developed Countries ◽  
Emerging Countries ◽  
Future Research ◽  
Firm Financial Performance ◽  
Wide Range ◽  
Corporate Social

This paper aims to investigate the literature on Corporate Social Responsibility (CSR) to provide a comprehensive overview of whether CSR would make a difference to organisational financial outcomes. The paper also provides a closer focus on CSR research in Vietnam. Through an extensive analysis of 86 most recent empirical studies from 2015 to 2020, we found that the contribution of CSR to firm financial performance has received significant support from the literature. Yet the overall findings are still inconsistent, and the majority of evidence is mainly from developed countries. The current literature on CSR and firm performance highlights some important issues, ranging from theoretical background, CSR measures, methodological issues, the need to consider intervening factors in CSR-firm performance relationship, and the need to extend this literature further in developing and emerging countries. The literature on CSR-firm performance research in Vietnam closely resembles these problems. Research in this country domain is still scarce in both quantity and quality, reflecting in a number of issues including the limited number of international publications, the absence of theory-driven research, and the less rigorous research design. Building on these findings, we recommend future research to (i) adopt the multi-theoretical approach for a more extensive view on whether and how CSR contributes to firm performance; (ii) obtain more rigorous methodological approaches to measure a wide range of CSR dimensions and address the issue of endogeneity in CSR-firm performance causal relationship; (iii) open the Pandora box to explore why and through which channels CSR can improve firm financial performance with the presence of situational factors; and (iv) build the literature with more evidence from different country contexts and from developing and emerging countries.

Comparative analysis of QISMUT+3’s Islamic corporate social responsibility

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Agung Nur Probohudono ◽  
Astri Nugraheni ◽  
An Nurrahmawati
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Financial Performance ◽  
Statistical Testing ◽  
Content Type ◽  
Islamic Bank ◽  
Csr Disclosure ◽  
Corporate Social ◽  
The Impact ◽  
Positive Effect

Purpose The purpose of this study is to analyze the impact of corporate social responsibility (CSR) disclosure on the financial performance of Islamic banks across nine countries as major markets that contribute to international Islamic bank assets (Indonesia, Malaysia, Saudi Arabia, UAE, Kuwait, Qatar, Turkey, Bahrain and Pakistan or further will be called QISMUT + 3 countries). Design/methodology/approach Islamic Social Reporting Disclosure Index (ISRDI) is being used as a benchmark for Islamic bank CSR performance that contains a compilation of CSR standard items specified by the Accounting and Auditing Organization for Islamic Financial Institutions. The secondary data is collected from the respective bank’s annual reports and it used the regression analysis techniques for statistical testing. Findings This study found that CSR disclosure measured by ISRDI has a positive effect on financial performance. Almost all ISRDI sub-major categories have a positive effect on financial performance except the “environment” subcategory. The highest major subcategory for ISRDI is the “corporate governance” category (82%) and the “environment” category (13%) is the lowest. For the UAE, Kuwait and Turkey, the ISRDI is positively affected by financial performance and the other countries on this research are not. Originality/value This study highlighted the economic benefits of social responsibility practices as a part of business ethics in nine countries that uphold the value of religiosity. Thus, the development of the results of this research for subsequent research is very wide open.

scholarly journals Theoretical Perspectives on Corporate Social Responsibility Disclosure: A Critical Review

2015 ◽  
Vol 5 (2) ◽  
pp. 38 ◽  
Author(s):  
Mohamed A. Omran ◽  
Dineshwar Ramdhony
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Stakeholder Theory ◽  
Social Contract ◽  
Critical Review ◽  
Developed Countries ◽  
Legitimacy Theory ◽  
Theoretical Perspectives ◽  
Csr Disclosure ◽  
Corporate Social

This study provides an extensive critical review of the theoretical perspectives applied on corporate social responsibility (CSR) disclosure literature. From a CSR standpoint we review and discuss, in detail, legitimacy theory, stakeholder theory, social contract theory, and signalling theory to identify the situations that suit each of these perspectives. The findings show that there is no universal theory applicable on corporate social responsibility disclosure for all situations or societies. While legitimacy theory suggests CSR disclosures are part of a process of legitimation, stakeholder theory offers an explanation of CSR accountability to stakeholders. Legitimacy theory seems to be more suitable for organizations working in developed countries, on the other hand, stakeholder theory appears to be most suitable for organizations working in developing countries; where a corporation can manage its stakeholders and the pressure to comply with existing legislation is less as compared to the developed countries. Social contract theory is appropriate for developed/emerged economies, as CSR disclosure exists due to an implicit social contract between business and society, which implies some indirect obligations of business towards society. Signalling theory will suit a situation where firms are competing for resources. A firm willing to demarcate from other firms will engage in more CSR practices. It is also important that the signal reaches the target audience by reporting on CSR. 

scholarly journals Corporate Social Responsibility Disclosure and Financial Performance: The Mediating Role of Financial Statement Comparability

2021 ◽  
Vol 13 (18) ◽  
pp. 10077
Author(s):  
Cao Thi Mien Thuy ◽  
Nguyen Vinh Khuong ◽  
Nguyen Thi Canh ◽  
Nguyen Thanh Liem
Keyword(s):  
Corporate Social Responsibility ◽  
Stock Market ◽  
Social Responsibility ◽  
Financial Performance ◽  
Financial Statement ◽  
Estimation Methods ◽  
Mediating Role ◽  
Csr Disclosure ◽  
Corporate Social

The aim of this study is to investigate the relationship between corporate social responsibility (CSR) disclosure and financial performance with the consideration of the mediating role of financial statement comparability (FSC) for a sample of Vietnamese listed firms. We used content analysis of the information related to the GRI Standards on annual reports in order to construct CSR disclosure score. We used a dataset of 1125 firm-year observations, covering 225 firms listed on Vietnam’s stock market in the period 2014–2018. Applying OLS and GMM estimation methods, Sobel test, and using different proxies of the mediator variable to increase the robustness, we obtained two remarkable conclusions. First, CSR disclosure has a positive impact on the financial performance of listed companies in Vietnam. Second, there is a complementary mediation effect of financial statement comparability in the above relationship. Our results suggest that it is necessary to develop a legal framework for the practice and disclosure of CSR as well as to apply the international accounting standards in the Vietnamese stock market.

scholarly journals The Influence of Corporate Social Responsibility (CSR) Disclosures on Corporate Financial Performance with Industrial Types as Moderating Variables

2019 ◽  
Vol 2 (1) ◽  
pp. 46
Author(s):  
Ivani Juni Nainggolan ◽  
Sofik Handoyo
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Financial Performance ◽  
Stock Exchange ◽  
Raw Material ◽  
Research Subjects ◽  
Industry Type ◽  
Low Profile ◽  
Csr Disclosure ◽  
Corporate Social

This study aims to examine the effect of implementing Corporate Social Responsibility (CSR) on the company's financial performance, with the industry type as a moderating variable. CSR disclosure was measured using CSR disclosure in accordance with ISO 26000. Return on Asset is proxy to measure the company’s financial performance. The type of industry was divided into a high profile and low-profile company. The research subjects are the main sector companies (raw material producing industries) and the second sector (manufacturing industries) which consist of various sectors namely agriculture, mining, basic and chemical industries, various industries, and consumer goods which are listed on the Indonesia Stock Exchange in 2012-2013. Partially, the results showed that the disclosure of CSR implementation and industry type positively and significantly affected the company's financial performance, and the type of industry succeeded in becoming a moderating variable that influenced the relationship between CSR disclosure and the company's financial performance. Simultaneously, results of the study also show that there is a significant effect of the level of disclosure of Corporate Social Responsibility (CSR) on financial performance with industry type as a moderating variable

scholarly journals Development of corporate social responsibility framework for developing countries: the case of Kazakhstan

2021 ◽  
pp. 20-39
Author(s):  
A. Orazayeva ◽  
M. Arslan
Keyword(s):  
Systematic Review ◽  
Developing Countries ◽  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
General Framework ◽  
Institutional Environment ◽  
Developing Economies ◽  
Developed Countries ◽  
Historical Background ◽  
Corporate Social

Purpose of research. The aim of this systematic review is to develop a general framework which is applicable for analysis of corporate social responsibility (CSR) in developing economies. This framework is further applied to transitional economy such as Kazakhstan.Methodology. This study presents a systematic review of existing CSR literature on developing economies. The study used the content analysis approach and identified the relevant studies by searching the keywords. Based on existing literature, the study developed a general framework which summarizes mostly noted motives and limitations relevant for CSR discussion in the context of developing countries.Originality / value. The most of existing studies aimed on developed countries and limited research is conducted in the context of developing countries that are characterised by weak institutional environment and have different socio-economic factors, compared to their counterparts. The study adds value to existing CSR literature by developing the framework which summarizes motives and limitations of CSR for developing countries.Findings. We identified that most of existing studies have reported the barriers of undertaking CSR research and documented the factors such as corruption, weak stakeholder activism and lack of government controls as main constraints. On the other hand, existing studies reported that religious traditions, historical background, globalization, and government institutional voids are the main drivers of CSR studies. Subsequent application of the framework to Kazakhstan shows that these constraints and motives are also true for the country.

scholarly journals Pengungkapan Corporate Social Responsibility dan Kinerja Keuangan Perusahaan Perbankan

2021 ◽  
Vol 31 (7) ◽  
pp. 1655
Author(s):  
Ni Made Widyasari ◽  
Ketut Yadnyana
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Financial Performance ◽  
Return On Assets ◽  
Return On Equity ◽  
Panel Data Regression ◽  
Analysis Technique ◽  
Data Regression ◽  
Csr Disclosure ◽  
Corporate Social

A company Development can made the ekspoitation of natural resources to be higher, so it is important for the companies to carry out CSR activities. This study aims to determine the effect of corporate social responsibility disclosure on financial performance in Bank sector as proxied by eeturn on assets (ROA) and return on equity (ROE). The sample was obtained using purposive sampling method and the number of research samples was 19 companies with a total of 95 observations. The data analysis technique in this study was panel data regression analysis. The results show that corporate social responsibility (CSR) disclosure has a positive and significant effect on financial performance in bank sector as proxied by return on assets (ROA) and return on equity (ROE). The implication of this research can contribute to the empirical study of stakeholder theory and equity theory. The implication of this research is that it can be taken into consideration in decision making by stakeholders and company management. Keywords: CSR Disclosure; ROA; ROE.

Defining Corporate Social Responsibility for Developing and Developed Countries

2019 ◽  
pp. 1-27 ◽  
Author(s):  
Duane Windsor
Keyword(s):  
Developing Countries ◽  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Fair Trade ◽  
Multinational Enterprises ◽  
Developed Countries ◽  
Theory Versus ◽  
Path Dependent ◽  
Corporate Social ◽  
Alternative Understanding

This chapter proposes a conceptual framework for comparing enterprise and governmental approaches to corporate social responsibility (CSR) for developed and developing countries. An enterprise approach is voluntary. A governmental approach provides either requirements or guidance, strong or weak, for enterprise CSR. Focus is on multinational enterprises (MNEs), for two reasons. First, MNEs may operate across quite different conditions. Second, a major MNE concern has to do with fair trade and sustainable development supply chains. The chapter considers three approaches found in the extant literature. One approach asserts autonomy of developing countries from developed countries, and thus divergence of enterprise and governmental CSR by type of context. A second approach examines global convergence as highly context path-dependent and perhaps cosmetic. A third approach emphasizes “glocality” combining global thinking with local action. The author proposes an alternative understanding of how to compare CSR for developed and developing countries using theory versus context.

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